As a rule, yes. But there are exceptions.
There are two cases when the news about adding crypto currency to the list of known exchanges negatively affects its market value:
- Invalid information guides. They're fake. Sometimes even the most seemingly conscientious developers use them to warm up interest in their crypto currency. For example, the same ZCash was actively growing on the background of news about adding to Bithumb. And when in the specified terms the crypto currency was not included in the listing of the top exchange, its price fell sharply. Investor confidence in the project was shaken, and they began to massively drain the assets. However, after a while the coin still went to Bithumb and made up for lost ground. But experts say that reputation losses still affect the ZCash market value chart. There are too many sharp jumps and similar sharp kickbacks on it. It also happens that the information guide is anything unconfirmed by hearing. For example, last year the network had information on adding Ripple crypto currency to the Coinbase exchange. The news instantly raised the coin price by 15%. However, after the official refutation of the developers, it also sharply went down.
- Exit to the exchange immediately after the completion of the ICO. Quite often, investors who bought tokens during the ICO are interested not in the development of the proposed technology, but in the quick earnings at the price of the asset after its appearance on the exchanges. As a rule, after reaching the trading floors, prospective tokens grow in price, because they are bought by investors who did not participate in the presley. But at the same time, the holders of tokens start to actively drain them, which leads to a decrease in the market value of the crypto currency. A striking example: in the autumn of last year, the Kyber Network token appeared on the Binance exchange. First they traded at $ 2.5 each, but because of the massive plum after ICO, the value of the coin just about halved a day, and fell below one dollar in a couple of weeks.
After a sharp jump in the rate, there is always a correction - this is the law of any currency market. And the more the price of crypto currency increased after it appeared on the exchange, the more it will fall during the correction.
Nevertheless, you can really make money on this effect. The main thing is to do it right.
Have you ever managed to earn this way?